The Lighter Glass: How Moderation Is Reshaping Alcohol Consumption in APAC
From mindful drinking to growing demand for soft drinks and water, discover the trends redefining beverage occasions across APAC.
APAC Is Drinking Less. Volume Declines Outpace Value
Alcohol consumption continues to soften across APAC. Equivalent volume declined by 4.5%, while value fell by 2.2%, indicating that pricing is helping offset some of the decline but not fully replacing lost demand. Beer remains the biggest source of pressure, accounting for more than half of category value and experiencing the steepest volume declines.
47% of Gen Z Consumers Are Drinking Less Than a Year Ago
Moderation is becoming a defining consumer behaviour across the region. Nearly half of Gen Z consumers say they are drinking less alcohol than they did 12 months ago, significantly above the APAC average. As younger consumers reshape drinking habits, brands must adapt to changing expectations around balance, health, and consumption occasions.
60% of Beer’s Lost Volume Is Going Elsewhere
Consumers are not simply leaving alcohol behind. They are increasingly shifting spending toward alternative beverages such as mineral water, iced tea, carbonated soft drinks, and energy drinks. Today’s beverage decisions are becoming more fluid, with consumers moving between categories based on need, occasion, and lifestyle.
Soft Drinks Are Winning More Consumption Occasions
The shift extends beyond retail shelves. In bars and restaurants, soft drinks are gaining momentum while beer and wine continue to lose share of occasions. Looking ahead, 28% of consumers say they plan to drink soft drinks more frequently over the next 12 months, double the proportion planning to reduce consumption.
Only 8% Have Stopped Drinking. The Real Story Is Moderation
Despite concerns around alcohol consumption, very few consumers are leaving the category entirely. Only 8% say they no longer drink alcohol. The larger opportunity lies in understanding how consumers are moderating, when they choose alcohol versus alternatives, and what influences those decisions.
Winning Brands Will Defend Occasions, Not Categories
As category boundaries continue to blur, growth will increasingly come from understanding consumer behaviour across drinking occasions. Brands that identify where switching occurs, why moderation happens, and how consumers navigate between alcohol and non-alcohol alternatives will be better positioned to capture future demand across APAC.
